Diamondback Energy Inc (FANG)vsTexas Pacific Land Corporation (TPL)
FANG
Diamondback Energy Inc
$204.97
-0.20%
ENERGY · Cap: $57.40B
TPL
Texas Pacific Land Corporation
$369.10
+0.82%
ENERGY · Cap: $26.34B
Smart Verdict
WallStSmart Research — data-driven comparison
Diamondback Energy Inc generates 1710% more annual revenue ($16.25B vs $897.54M). TPL leads profitability with a 60.3% profit margin vs 9.0%. TPL appears more attractively valued with a PEG of 7.33. TPL earns a higher WallStSmart Score of 71/100 (B).
FANG
Strong Buy69
out of 100
Grade: B-
TPL
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+47.0%
Fair Value
$318.64
Current Price
$204.97
$113.67 discount
Intrinsic value data unavailable for TPL.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 48.5%
Revenue surging 52.5% year-over-year
Earnings expanding 179.5% YoY
Large-cap with strong market position
Reasonable price relative to book value
Generating 2.6B in free cash flow
Every $100 of equity generates 32 in profit
Keeps 60 of every $100 in revenue as profit
Strong operational efficiency at 78.2%
Revenue surging 31.2% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Areas to Watch
Premium valuation, high expectations priced in
ROE of 4.2% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Trading at 16.4x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Operating Margin, Revenue Growth, EPS Growth. Revenue growth of 52.5% demonstrates continued momentum.
Bull Case : TPL
The strongest argument for TPL centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 60.3% and operating margin at 78.2%. Revenue growth of 31.2% demonstrates continued momentum.
Bear Case : FANG
The primary concerns for FANG are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : TPL
The primary concerns for TPL are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 48.8x leaves little room for execution misses.
Key Dynamics to Monitor
FANG profiles as a hypergrowth stock while TPL is a growth play — different risk/reward profiles.
TPL carries more volatility with a beta of 0.62 — expect wider price swings.
FANG is growing revenue faster at 52.5% — sustainability is the question.
FANG generates stronger free cash flow (2.6B), providing more financial flexibility.
Bottom Line
TPL scores higher overall (71/100 vs 69/100), backed by strong 60.3% margins and 31.2% revenue growth. FANG offers better value entry with a 47.0% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Diamondback Energy Inc
ENERGY · OIL & GAS E&P · USA
Diamondback Energy is a company engaged in hydrocarbon exploration and headquartered in Midland, Texas.
Texas Pacific Land Corporation
ENERGY · OIL & GAS E&P · USA
Texas Pacific Land Corporation is engaged in land and resource management, and water operations and services businesses. The company is headquartered in Dallas, Texas.
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